SI.NO.

Components
1 CTC
2 Fixed Salary
3 Variable Salary
4 Basic Salary
5 Dearness Allowance
6 House Rent Allowance
7 Conveyance Allowance
8 Medical Allowance
9 Leave Travel Allowance
10 Child Education Allowance
11 Child Hostel Allowance
Conditions
Cost to Company - Total Salary
Constant salary credit to the employee
Incentive Pay - Target or Goals Achieve
Paid to the employee based on the
company location - 3 Category = Urban,
Semi-Urban and Rural
DA = Inflation taken place in the econom.
Condition
HRA = Rent allowance provided to the
employee for their accomd. Purpose
CA = Home to company premises and
Vice Versa
MA = Baisc expenses medical happen to
the employee in monthly
LTA = Once in Two Years - Rembur. On
your travel and accomdation
CEA = Money give to the employee for
their childrens education - Maximum 2
Kids
CEA = Money give to the employee for
their childrens hostel facility - Maximum
2 Kids

PF - Saving plan for the employee - Two

Contribution - Employee and Employer -
12 Provident Fund
Employee Cancel = Monthly Basic Salary
should be more than Rs. 15,001/-

Gratuity = Saving Purpose - Employee

13 Gratuity should complete 4.8 Years in the same
company - Eligible for Gratuity
ESIC = Below Rs. 21,000/ Per Month -
14 ESIC Medical Purpose - Employee contribution
and Employer Contribution
PT = Employee who will be covered
under Professional - PT to the respective
15 Professional Tax
state government - performing
professionalism
TDS = Tax Deduction at Source -
Monetary transaction - Tax need to be
16 TDS
paid - Employee Need to pay TAX to
Employer
17 Gross Salary Addition part of your CTC Components

18 Net Salary After the Deduction

19 Grade Pay / Special Allowance Adjust amount

 Formula
CTC = Fixed salary + Variable Salary
FS = CTC - Variable Pay
VP = CTC - Fixed Salary
Urban = 50% of CTC or FS; Semi-
Urban = 40% of CTC or VP; Rural =
30% or 35% of CTC or VP

DA = 17% of Basic Salary

HRA = 40% of (BS+DA)

CA = Rs. 19,200/- Per annum = Rs.

1,600/- Per Month
MA = Rs. 15,000//- Per Annum = Rs.
1,250/- Per Month

LTA = 1 Month of your BS

CEA = 100*2*12 = Rs. 2,400/-

Perannum

CHA = 300*2*12 = Rs.7,200/-

Perannum

PF = 12% of (BS + DA)

Gratuity = 4.81% of Basic Salary

ESIC = 4% of Gross Salary (Employee

= 0.75% Employer = 3.25%)

PT = Rs. 2,500/- Per Annum (11Months

= Rs. 200/- 12th Month Rs. 300/-)

Depends according to the income tax

process
 GS = CTC Components
(BS+DA+HRA+CA+MA+LTA+CEA+
CHA+Grade Pay)
Net Salary = GS - Deducation
(PF+GRATUITY+ESIC+TDS+PT)
GP = CTC - CTC Component
(BS+DA+HRA+CA+MA+LTA+CEA+
CHA+PF+GRATUITY+ESIC)
SI.NO. Components
1 CTC
2 Fixed Salary
3 Variable Salary
4 Basic Salary
5 Dearness Allowance
6 House Rent Allowance
7 Conveyance Allowance
8 Medical Allowance
9 Leave Travel Allowance
10 Child Education Allowance
11 Child Hostel Allowance
12 Provident Fund
13 Gratuity
14 ESIC
15 Professional Tax
16 TDS
17 Gross Salary
18 Net Salary
19 Grade Pay / Special Allowance